A landmark skyscraper owned by Hong Kong’s richest man Li Ka-shing has sold for a record of more than $5 billion, a report said on Monday, indicating that the city’s booming property sector shows no sign of slowing down.

Li’s CK Asset sold its 75 percent stake in The Centre, which is located in the city’s bustling Central district, to a consortium led by a Chinese energy firm, the Hong Kong Economic Journal said, citing unnamed sources.

The city’s fifth tallest skyscraper would become Hong Kong’s most expensive commercial building ever sold if the HK$40.2 billion (US$5.15 billion) deal goes through, the paper reported.

The sale would surpass a transaction earlier this year, where a prime commercial lot occupied by a multi-storey car park also in the central district was sold off for HK$23.28 billion by the government to Henderson Land, which is owned by the city’s second richest man, Lee Shau-kee. Shares in CK Asset, Li’s flagship property company, rose 2.62 percent to HK$66.50 in Hong Kong trade on Monday.

The deal will soon be announced and the name of the building may be changed, the report added.

Mainland investors

Hong Kong’s surging property market has become a political issue as costs in one of the world’s most expensive metropolises continue to soar, forcing some small businesses to close owing to sky-high rents while many residents cannot afford to buy or rent decent homes.

Commercial and residential property prices have been fuelled by an influx of money from wealthy mainland China investors.

Donate

For years Intellasia.Net has been provided local updates in many Asia countries for free. If you love what we're doing you can show a helping hand by donation button bellow. Any amount is greatly appreciated. Your support will directly help with the monthly server fee as well as support our editors